Fair Price Protection Act (surveillance pricing of groceries)
NJ Fair Price Protection Act
Artificial intelligence · Location · Biometric · Other
Signed July 23, 2026, this law bars retailers from using algorithms fed by personal data (including location, online activity, purchase history, biometric monitoring, or in-store sensors) to set individualized prices for groceries and household essentials. Cost-based price differences, publicly disclosed group discounts, and opt-in loyalty programs with uniform terms remain allowed. It also imposes a one-year moratorium on new electronic shelf labels.
- Where
- New Jersey
- Citation
- S3612/S3717 (2R SCS), 222nd Legislature (2026), supplementing the Consumer Fraud Act, N.J.S.A. 56:8-1 et seq. (P.L.2026 chapter number and N.J.S.A. sections not yet posted)
- Status
- Enacted, not yet in force
- In force since
- 2027-08-01
- Enforced by
- New Jersey Attorney General / Division of Consumer Affairs (Consumer Fraud Act and a separate Attorney General civil action)
- People can sue
- Limited
- Penalties
- Surveillance pricing is an unlawful practice under the Consumer Fraud Act (CFA penalties up to $10,000 first / $20,000 subsequent, 56:8-13). The Attorney General may also sue for injunctions, actual damages for each negligent or greater violation, restitution, and other relief (s.7). A CFA private claim requires an ascertainable loss (56:8-19).
- Applies to
- Any person that sets or varies prices of groceries and other foodstuffs (including household cleaning, health and beauty, paper, and pet products) offered to New Jersey consumers (ss.2-3)
- Restaurants and other establishments selling food for immediate consumption are excluded (s.6)
What a privacy notice must say
- Loyalty programs relied on as an exception must be voluntary opt-in, offer uniform terms, clearly disclose pricing benefits and data practices to members and the public, and provide those disclosures to the Division of Consumer Affairs within 14 days of a request.S3612 2R, s.3(b)(3) · Only if: Only if relying on the loyalty-program exception · From 2027-08-01
Practices it requires
- Do not use surveillance pricing or any pricing strategy that sets or varies grocery prices based in whole or part on personal data, including data inferred from other data or gathered by cameras, sensors, device tracking, or biometric monitoring.S3612 2R, ss.2-3(a) · From 2027-08-01
- Personal data used to offer a permitted price difference may not be used for any other purpose without the consumer's consent.S3612 2R, s.3(c) · From 2027-08-01
Other duties
- One-year moratorium on new use of electronic shelf labels (repair or replacement of existing labels allowed).S3612 2R, s.4 · From 2027-02-01
Sources
- Official text
- S3612/S3717 Senate Committee Substitute, Second Reprint (New Jersey Legislature)
- Governor Sherrill signs the Fair Price Protection Act (Office of the Governor, July 23, 2026)
Checked against these sources on 2026-09-25 by research agent (Claude), primary sources.
Unverified: The enacted version was not confirmed: the Legislature's site lists S3612 2R SCS (Senate Budget, June 28, 2026) and A4085 3R ACS; the chapter law was not yet posted. Obligations above follow S3612 2R. | Effective dates computed from signing on July 23, 2026: main provisions on the first day of the 13th month next following (August 1, 2027); the shelf-label moratorium on the first day of the seventh month next following (February 1, 2027).
Research reference, not legal advice.